FBR warns field formations over harassment in transit checks

The Federal Board of Revenue has instructed its Inland Revenue field formations to avoid harassing taxpayers during checks on goods in transit, restricting officers to verifying whether the required retail price has been printed or embossed on goods specified in the Third Schedule to the Sales Tax Act.

In a notification issued on Monday, the FBR said goods in transit should not ordinarily be subjected to physical checking, examination or unloading, and that the aim is to ensure the smooth and unhindered movement of goods. Officers are not to demand the driver's CNIC or any document other than the applicable digital invoice or stock transfer note, and vehicles carrying goods are not to be diverted to or detained at unauthorised premises.

The FBR added that non-issuance of a digital invoice is to be dealt with separately under the relevant provisions and will not, by itself, constitute grounds for detention of the vehicle or goods in transit. Where the Third Schedule goods are checked and the required retail price is found not to have been printed or embossed, appropriate action is to be taken.

The board warned that harassment of taxpayers will not be tolerated and that any departure from the instructions will be viewed seriously. The instructions apply to all field formations and set out the procedure to be observed during transit checking.